Other appeals courts have ruled otherwise, but the 9th district court has had a couple of precedents in the past, according to the article.
Personally, I think it's an interesting issue. If the company fires the higher ranked employee, they are probably losing more value.
It's also interesting that I think everyone would agree that it would be absurd to fire any employee if they were a married couple - yet absent the (mostly religious and tax related) binds of marriage, there's some moral judgment cast upon the participants. It seems so puritanical and absurd. What if the two employees got married before anyone found out about the affair? I bet they'd be protected both legally and in terms of moral or business implications.
It appears many states actually prevent firing based on marital status: https://www.wsj.com/articles/SB111041550490175318
From that one, "One reason is that about 20 states and many cities ban employment discrimination on the basis of marital status. If a married employee who has an affair is fired and an unmarried employee who has an affair isn't, the fired employee in those states conceivably could claim illegal discrimination, attorneys say. Thus, many employers turn a blind eye to marital cheating."
Situation 1: Person A and B are married and have a sexual relationship. A is a VP, B is just a regular worker. Nobody has a problem with this, and policies generally don't have any problem with coworkers being married.
Situation 2: Person A and B are not married and have a sexual relationship. A is a VP, B is just a regular worker. Some people have a problem with this, and policies often have a problem with coworkers being married.
That's called discrimination based on marital status (or lack thereof).
You can't fire someone because they are black, or gay, or Mormon, or get sick - and probably not because they fall in love with each other either.
https://www.employmentattorneyla.com/blog/2017/06/what-are-c...
No way. Two people falling in love is not in the same category as someone saying public things.
It's in court right now.
And it always will be.
And that's assuming the "VP of Customer Service" has a negotiated contract in the first place. Most employees, even managers, don't have negotiated contracts; they have the default handbook contract, which I guarantee you restates and maintains the US default, which is termination at will.